MINERAL PROPERTY

9 Months Ended

May 31, 2016

MINERAL PROPERTY [Text Block]

7.	MINERAL PROPERTY
	Lithium Definitive Agreement
	Enertopia (Optionee) has signed the Definitive Agreement on May 12, 2016 with the Vendor respecting the option to purchase a 100% interest in approximately 2,560 acres of placer mining claims in Churchill, Lander and Nye Counties Nevada, USA. These placer mining claims are subject to a 1.5% NSR from commercial production with the Company able to buy back the NSR at the rate of $500,000 per 0.5% NSR.
	Purchase Price for the Claims
	The consideration payable by Enertopia to the Optionor. pursuant to this Offer shall consist of:

(a)	paying $7,000 on signing the Offer; (paid)
(b)	paying $12,000 on signing of the definitive agreement (the “Agreement”) and issuing 3,500,000 common shares in the capital stock of Enertopia as soon as practicable following the execution of the Agreement, (paid)
(c)	paying an optional $12,000 on or before the six month anniversary of the definitive agreement (the “Agreement”),
(a)	paying an optional $22,500 on or before the one year anniversary of the definitive agreement (the “Agreement”),
(d)	issuing additional common shares in the capital of the Optionee, as constituted on the date hereof, to be issued to the Optionor pursuant to the discovery of a Lithium enriched brine with an average 300 ppm Li over 100 foot vertical interval in the enriched lithium brine in the Central Nevada Brine Project. 1,000,000 Bonus Shares will be issued per each successful property discovery meeting the foregoing criteria up to a maximum 3,000,000 Bonus Shares.

NSR

There is a 1.5% Net Smelter Return (“NSR”) payable on all Placer mining claims from commercial production to be paid according to the terms and conditions as set forth in the Transaction Documents. The NSR can be re purchased for $500,000 per every 0.5% .